Thoughts on Money

Being "good with money" means you know how to USE it. Saving money is one use, but it's not the exclusive way to put your money to work for you .

The world is split between those who don't know how to start making money and those who don't know when to stop.

"I just found this hammer. What should I do with it?"

Kind of a weird question, right? But it's just like asking "What should I do with this money?"

Well, uh...I dunno. That's not nearly enough information.

A hammer is a tool.

Money is a tool.

You have to get clear on what you're trying to accomplish in life before anyone can tell you what to do with... See more

I have great control of my money when I am earning it. I have zero control of my money when I am not.

But consumption smoothing pays homage to an existential reality: Life itself is the ultimate scarce asset. The future is unknowable, and religiously maintaining a double-digit savings rate through the worst squalls of life is not of the utmost importance.

But here’s the key: Money work isn’t about getting rid of our uncomfortable emotions. It’s about learning to respond to them, to work with them, and to learn from them.

And most importantly, to not let them steer you in directions that will make life harder for you.